The latest development in the protracted legal wrangling over rights to a Fallout MMORPG is detailed on Develop, where they have word that a California court has refused to honor Bethesda Softworks' motion for a restraining order against Bulgarian developer Masthead Studios. Here's their summary:

Bethesda first sued Interplay in 2009, before months later a US District Court judge denied its motion for a preliminary injunction.

Bethesda then put a new angle on its complaint. In its second suit, it said Interplay and Masthead could not use assets, characters or narrative belonging to the Fallout IP.

But Judge Walter now claims Bethesda “has not demonstrated that it will be irreparably prejudiced” if the restraining order is enacted.

Bethesda has not shown it is without fault in creating the dispute, the judge ruled.

^Drag0n^ wrote on Sep 23, 2011, 21:33:At this rate, we'll all be 60 when it goes on sale.

For consoles.

^D^

I'm not sure they actually want to make an MMO. Interplay just wants the full value of their IP. Bethesda refused to buy the MMO rights and now decided they want them. Interplay can only hold on to them if they are working on a Fallout MMO. Instead of buying the rights from Interplay they are trying to sue the rights out of them and now the whole thing is potentially backfiring. Interplay probably still wants to sell the rights to Bethesda, or if their motion to void the contract goes through someone else.

Bethesda has attempted many times to impede Interplay in making the MMO despite it being in the contract when the IP was sold. Because Bethesda has been rejected at every turn, Interplay is now going after Bethesda for breach of contract, which Interplay is trying to have the contract reverted to the previous agreement of Bethesda only having license to make 1 more Fallout game.

But I have however heard that Interplay could be close to bankruptcy, again. This is exactly what Bethesda is trying to force.